'Nation's First Autonomous Driving Demonstration City' Gwangju... Hyundai Motor and Samsung Fire & Marine Insurance Join
Selected for the Ministry of Land’s ‘K-Autonomous Driving Collaboration Model’
Integrated Support for Vehicles, Insurance, and Platform
Compensation for Accidents up to 10 Billion Won
Demonstration Operations Begin in the Second Half of This Year
Hyundai Motor Company and Samsung Fire & Marine Insurance will participate in Gwangju’s autonomous driving demonstration city project. This collaboration model is designed to support the technology development of autonomous driving companies by integrating vehicle supply, insurance support, and platform operation.
On March 9, Gwangju Metropolitan City announced that, under the Ministry of Land, Infrastructure and Transport’s ‘K-Autonomous Driving Collaboration Model,’ Hyundai Motor Company has been selected as the automaker, Samsung Fire & Marine Insurance as the insurer, and Hyundai Motor Company as the mobility platform operator. Each will support the Gwangju autonomous driving demonstration city project in their respective roles.
The core of this cooperation model is to provide an integrated system that includes supplying demonstration vehicles, exclusive insurance policies, and service operation frameworks, enabling autonomous driving companies to focus on developing their technologies. The plan is to enhance the competitive edge of autonomous driving artificial intelligence (AI) technologies and services in conjunction with the Gwangju demonstration city project.
Hyundai Motor Company will develop and supply dedicated self-driving vehicles (SDVs) optimized for autonomous driving technology demonstrations, as well as provide on-site support for vehicle maintenance and R&D personnel.
Samsung Fire & Marine Insurance will offer a compensation limit of 10 billion won per autonomous driving accident and a total annual limit of 30 billion won. In addition, it will support autonomous driving companies with specialized services such as analysis of event data recorder (EDR) data, accident prevention consulting, and information technology (IT) security consulting.
Hyundai Motor Company will also participate in the transportation platform field. By linking autonomous vehicles with the platform, it will establish a service operation system encompassing vehicle control, dispatch management, and driving data analysis. It will also utilize real-time vehicle sensor data and driving information to support operational quality analysis and vehicle monitoring.
Gwangju’s autonomous driving demonstration city will be the first in the country where the entire city is designated as a pilot autonomous vehicle operation zone and a mega sandbox. With an investment of 61 billion won in national funds, 200 autonomous vehicles will begin operations in stages starting in the second half of this year.
Although the demonstration section will eventually cover all of Gwangju, the initial phase will begin in outlying areas with relatively low traffic and later expand to the downtown core. Once safety is ensured, free rides for citizens to directly experience autonomous vehicles will also be introduced.
If, in April, the entire Gwangju area is designated as a pilot operation zone, demonstration operations will commence in parts of Gwangsan-gu, Buk-gu, and Seo-gu in the second half of this year. Next year, the project will expand to include Seo-gu, Nam-gu, Dong-gu, and major locations such as Chosun University Hospital, ultimately scaling to a city-wide demonstration.
Gwangju plans to link the autonomous driving demonstration city project with the National AI Mobility Pilot City initiative and the Physical AI-based Future Vehicle Industry Innovation Cluster project. The goal is to build an industrial ecosystem that encompasses technology development, demonstration, production, and certification for autonomous vehicles.
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Kang Gijung, Mayor of Gwangju, stated, “The Gwangju autonomous driving demonstration city project is not just about technology demonstration—it aims to create a city model where autonomous driving services are integrated into citizens’ daily lives. By collaborating with private companies, we will accelerate the commercialization of autonomous driving technologies and expand the AI mobility industry ecosystem.”
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